India's goods movement surged to a fresh all-time high in December, with total e-way bill generation rising sharply by 23.6% year-on-year to 138.39 million, according to data released by the Goods and Services Tax Network (GSTN). The robust growth reflects sustained economic momentum, improved compliance and stronger consumption during the festive and year-end period.
The December numbers surpassed the previous record of 132 million e-way bills generated in September, marking the highest monthly count since the GST regime was introduced. In comparison, e-way bill generation in November grew at a relatively modest 6.5% to 129.8 million, underscoring the sharp acceleration seen last month.
What is an E-Way Bill?
An e-way bill is an electronically generated document mandatory under GST for the movement of goods valued above Rs 50,000. It captures details of the consignor, consignee, transporter and consignment, and plays a crucial role in curbing tax evasion while enabling real-time tracking of goods movement across states.
GST 2.0 and Formalisation Drive Boost Volumes
Tax experts attribute the sharp rise in December primarily to the GST 2.0 rate rationalisation exercise, which reduced tax incidence on several goods, encouraging higher trade volumes and compliance.
"The jump in e-way bills can be attributed to GST 2.0 rate rationalisation. The rollout of the Centre's fast-track GST registration scheme has also led to higher registrations, indicating that more businesses are entering the formal economy," a tax expert said.
Supporting this trend, official data shows that 1.42 lakh GST registration applications were cleared electronically within the first 15 days of November, following the launch of the new scheme on November 1.
Consumption Rebound Signals Economic Strength
Experts also view the surge in e-way bills as a strong indicator of improving consumption demand. "Such a high growth rate in December is uncommon and reflects the impact of significant GST rate cuts under GST 2.0," another tax expert noted.
The rise in goods movement aligns with broader macroeconomic trends. According to the First Advance Estimates released on Wednesday, the government projects private final consumption expenditure growth of 7% in 2025-26, compared with 7.2 per cent last year. At the same time, real GDP growth is estimated at 7.4%, up from 6.5% in the previous fiscal.
Outlook
The record-breaking e-way bill generation underscores the combined impact of policy reforms, rate rationalisation, higher compliance and strengthening demand. Analysts believe that if current trends persist, India's logistics, manufacturing and trade activity could remain on a strong footing in the coming months, further reinforcing GST's role as a key barometer of economic activity.
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